An MFSA investigation has not revealed evidence that Bank of Valletta staff or persons connected to them used confidential information as a basis for their decision to redeem shares from the La Valette Multi Manager Property Fund prior to the suspension of the August 8, 2008 redemptions, the bank said.

The investigation was conducted by the Malta Financial Services Authority following allegations and judicial protests that group employees or persons connected to the bank or the fund took advantage of privileged information to dispose of their shares prior to the fund's suspension.

BOV said in a statement that the authority undertook a thorough examination of any information which was identified as being relevant to this investigation, including data on purchases and redemption of shares.

The MFSA's report is not public but the bank said the investigation included interviews with its officials, the review of minutes of meetings, correspondence and data collected by the authority from the bank, Valletta Fund Management, Valletta Fund Services and La Valette Funds Sicav p.l.c.

The bank said the authority also scrutinised redemptions that took place in 2008, particularly between April and August, to determine whether any could be deemed unusual or out of line with the general pattern of redemptions at the time.

The bank said it was pleased that all members of the Bank of Valletta Group management, staff and their families have been fully exonerated.